Meanwhile, Asian shares were under pressure after North Korea cancelled high-level talks with Seoul, denouncing military

exercises between South Korea and the United States and throwing into question next month's unprecedented summit between Kim Jong Un and U.S. President Donald Trump.

While global political tensions continued to provide safe-haven support to the metal, investors said the main price drivers would likely remain a stronger dollar and rising U.S. interest rates.

"There are lot of geopolitical risks but people are just used to it. Therefore it has not become a big driver for gold,"

said Helen Lau, analyst at Argonaut Securities.

Higher interest rates in the United States amid a rising dollar will continue to add downward pressure on gold, Lau said.

Spot gold may bounce to a resistance at $1,302 per ounce, before falling again, Reuters technical analyst Wang Tao said.

In other precious metals, silver was up 0.4 percent at $16.29 per ounce after falling about 1.6 percent on Tuesday in its biggest one-day percentage decline since April 23.

Platinum rose 0.3 percent to $895.74 an ounce, while palladium eased 0.1 percent to $981.50 per ounce after recording the biggest single-day percentage loss in two weeks at 1.3 percent in the previous session.

Market Update

Precious Metals & FX

Bid

Offer

Note: Rates displayed here are not live, just for the information purpose and not for the trading.